Facilitating Businesses of Substance

The establishment of businesses of substance that create jobs and contribute to economic activity has been a feature of Barbados’ international brand since the establishment of the international business sector, several decades ago. From inception, Barbados was deliberate in building its international business sector on the strong foundation of treaty-based agreements that included provisions for the exchange of information.

Investors choosing Barbados as a preferred business jurisdiction do so, among other key reasons, for its high reputation anchored on the tenets of compliance, transparency and consistency. The OECD’s Global Forum, in its initial report published in April 2009, recognised Barbados as the only independent, Caribbean nation which had substantially implemented the internationally agreed tax standard.

Barbados continues its commitment to the implementation of global standards. The country signed on to a Foreign Account Tax Compliance Act (FATCA) Model 1A Agreement with the USA in November 2014 and, since October 2016, has been a signatory to the Multilateral Convention on Mutual Administrative Assistance in Tax Matters. The jurisdiction is also a signatory to the Multilateral Competent Authority Agreement, as well as the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting. During 2016, the OECD’s Global Forum ranked Barbados “largely compliant” on transparency and the exchange of information for tax purposes. Other nations with the same “largely compliant” ranking include: Austria, Germany, Hong Kong, the Netherlands, the United Kingdom and the United States.